China pledges $60B funding package support development efforts in world's poorest continent

December 7
2:32 AM 2015

Even as it faces an economic slowdown, China still showcased its generosity by providing Africa funding support worth $60 billion.

Chinese President Xi Jinping held a summit Friday at Johannesburg together with African leaders. There, he pledged to provide funding and cooperation to help the nation in its development efforts.

Gulf News reported that China will also give Africa a $5 billion interest-free loan, as well as $35 billion in preferential financing. Xi said that his government would also provide concessional loans and export credit lines for Africa.

He said the support is aimed at helping Africa alleviate itself from poverty and increase trade. China doesn't want to interfere in Africa's internal affair, said Xi.

Observer Leader wrote that China will also support the enhancement of African health care facilities, train journalists, and give satellite connection to 10,000 African villages.

Xi said China will have 10 cooperation initiatives with Africa from today until 2018. Shinyekwa proposed that the two nations should create special economic zones in Africa.

"In addition, the Government of the People's Republic of China has awarded the Government of Zimbabwe a grant in the amount of US$62, 485, 356 for the construction of the Parliament Building, the NatPharm warehouse and other projects", said Minister Patrick Chinamasa who commended China for the mega deals, according to a report by Herald.

"China supports the settlement of African issues by Africans in the African way."

The two-day Forum on China-Africa Cooperation summit is the first time a top-level meeting has been conducted in Africa since the group was founded in 2000. Besides relationships and development projects, the forum will also focus on security issues.

China is the biggest trade partner of Africa, earning a two-way income of $220 billion in 2014. Africa exports raw materials and buys manufactured goods. In the first six months this year, China investment to the continent went down 40 percent due to the economic slowdown.

China will discuss free-trade plans with Africa for stronger imports and agricultural industry to boost local employment. 

© 2022 VCPOST, All rights reserved. Do not reproduce without permission.


Join the Conversation

Subscribe to VCpost newsletter

Sign up for our Deals of the Day newsletter.
We will not spam you!

Real Time Analytics